economics

economics — noun

1. an academic field that examines how people, businesses, and governments decide t

1.nounB2
Definition

an academic field that examines how people, businesses, and governments decide to use limited resources when producing, trading, and using goods and services

Example

Vikram chose to study economics at university to understand how global trade works.

uncountable noun for academic subject

The textbook showed how supply and demand affect prices of rice and cooking oil.

Common collocations
  • study economics
  • economics degree
  • economics professor
  • economics textbook
  • Keynesian economics
  • behavioral economics
  • mainstream economics
Synonyms
  • economic science

    more formal and less common in everyday conversation; used mainly in academic contexts

  • economic theory

    refers more narrowly to the principles and models rather than the whole field of study

  • political economy

    historical term emphasizing the link between politics and economics; less common in modern usage

Usage Note

Although economics ends in -s, it is treated as a singular uncountable noun in standard English (e.g., Economics is my favourite subject).

Common Mistakes

I study economic at university.
I study economics at university.
the noun form for the academic subject is economics, not economic.
The economics are complex.
The economics is complex.
economics takes a singular verb even though it ends in -s.

2. the financial factors, costs, and potential profits that affect whether a plan,

2.nounB2
Definition

the financial factors, costs, and potential profits that affect whether a plan, project, or business is worth doing

Example

The bakery's economics do not add up with such high rent in this district.

pattern: the economics of [activity]

Rania studied the economics of solar energy before installing panels on her house.

Common collocations
  • the economics of
  • evaluate the economics
  • consider the economics
  • understand the economics
  • economics of scale
Synonyms
  • financial aspects

    more general and less technical; can refer to any financial side of a situation

  • cost-benefit analysis

    refers specifically to the method of weighing costs against benefits, not just the financial factors themselves

  • financial viability

    focuses on whether something can succeed financially, a narrower meaning than economics

Grammar Patterns

the economics of + noun phrase

Usage Note

In this sense, economics is plural in meaning and is typically preceded by the definite article in the pattern the economics of + noun phrase. The verb that follows is plural (e.g., the economics of the plan are questionable), unlike sense 1 which always takes a singular verb.

Common Mistakes

We need to examine the economic of this project.
We need to examine the economics of this project.
when referring to the financial factors of a specific activity, use the plural form economics, not the adjective economic.
The economics of the plan is uncertain.
The economics of the plan are uncertain.
in this sense, economics takes a plural verb because it refers to multiple factors.

Word family

Synonym discussion

Sense: noun/1

Economics is the broad academic field studying how societies manage resources — a social science, not a system. Economy, by contrast, refers to the actual system itself (e.g., the Indian economy is growing). Finance focuses specifically on money management at the individual, corporate, or institutional level, including investing, banking, and budgeting; it is a narrower subfield within economics. Economic theory covers the models and principles (supply and demand, game theory) that economists use, rather than the whole discipline. To illustrate: 'She studied economics at Cambridge and now analyses the Chinese economy for a bank, applying economic theory to forecast interest rates.' A finance degree, on the other hand, would prepare her for a role managing investment portfolios.

economics ↗economy ↗finance ↗economic theory

Common collocations

Nouns

Phrases

  • supply and demand
  • gross domestic product
  • monetary policy
  • fiscal policy
  • market economy

Prepositions

Etymology

Ancient GreekLatinFrenchEnglish

Economics traces back through Latin oeconomia to the Greek word oikonomia, meaning 'management of a household' (oikos 'house' + nomos 'law, management'). The English word economy appeared in the 16th century to refer to household management, and by the 18th century it had expanded to describe the management of a nation's resources. The form economics, with the -ics suffix meaning 'science or study of', emerged in the late 19th century as the field became a formal academic discipline, replacing the earlier term political economy.